INTEGRATION OF RENEWABLE ENERGY IN DANISH DISTRICT HEATING SYSTEMS. Birger Lauersen Manager International Affairs Danish District Heating Association

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1 INTEGRATION OF RENEWABLE ENERGY IN DANISH DISTRICT HEATING SYSTEMS Birger Lauersen Manager International Affairs Danish District Heating Association

2 DANISH DISTRICT HEATING ASSOCIATION Lobbying to promote and facilitate DH developments in Denmark and beyond Organizing co-operation between members Common guidelines Know-how groups Networking Communication Service to members Operations Training Legal, economic etc. advice

3 MEMBERSHIP BASE 396 members representing 99% of national DH-sale From 100 consumers in villages 2 GWh/y To consumers in cities GWh/y 40 members are public utilities (approximately ½ of DH sales) 355 members are private cooperatives (other ½ of DH sales ) 10 private companies (very little sold heat) 3 transmission companies 11 associated members

4 DANISH DISTRICT HEATING FAMILY Danish District Heating Association Association for Danish DH companies Green Energy Association btw. DDHA and industry, Think-tank, R&D projects, export of DHC concept Danish District Heating IT-Company Cooperatively owned by 258 DH companies, IT solutions for district heating companies Danish District Heating Project Consultancy Cooperatively owned by 83 DH companies, Engineering & consulting Danish District Heating Trading Company Cooperatively owned by 115 DH companies, Exchange for energy savings Danish CHP Capacity Being established Will be cooperatively owned by clients (DH-companies), Capacity exchange for CHP Danish Board of District Heating Association with 57 members in DH-industry, Export of DH technology & services FIF Marketing Association 200 members in DH-industry, Promotion & marketing Total staff of 100+ working for district heating and cooling in Denmark

5 DISTRICT HEATING HISTORY 1960 s Growth on private and municipal initiative 1970 s Heating Commission Shift to surplus heat (CHP) 1980 s Heat law Heat planning Continued shift to CHP and other surplus heat sources Expansion of networks No more oil 1990 s Localised CHP Natural gas/biomass 2000 s Consolidation Looking for sustainable heat 2010 s Expansion Renewables Integration From a burning platform in the 70 s to newer versions!

6 HEAT SUPPLY ACT Objective (1).to promote the most socio-economic and environmentally friendly utilization of energy for heating buildings, supplying them with hot water and reduce the dependency of the energy system on oil. (2) in agreement with the objectives mentioned in subsection (1), the supply of heat shall be organized with a view to promoting the highest possible degree of cogeneration of heat and power. Prices..can include necessary expenses for fuel, wages, and other operational costs, research activities, administrative and energy delivery costs as well as costs related to public service obligations including energy savings obligations [..], financing expenses and costs of the previous period, which accrued due to investments implementing or developing the energy networks

7 RESIDENTIAL HEATING SOLUTIONS, Unknown Stoves, other Direct electricity Heat pumps Central heating without oil or natural gas Central heating with natural gas Central heating with oil 0 District heating Source: StatBank Denmark, Statistics Denmark

8 HEAT MARKET SHARES, BUILDING TYPES AREAS M No or unknown heating Other types of heating Heat pumps Ovens with solid fuel Ovens with oil or petroleum Electricity direct Central heating with solid fuel Central heating with natural gas Central heating with oil-fired boiler District heating Source: StatBank Denmark, Statistics Denmark

9 DANISH DISTRICT HEATING DEVELOPMENTS Compositions of Fuels in District Heating Production 100% 50% Source: Danish Energy Agency, Energy Statistic % 1990 '95 '00 '05 '10 '15 Heat pumps and electric boilers Renewable energy Waste, non-renewable Coal Natural gas Oil

10 DANISH DISTRICT HEATING DEVELOPMENTS II Future Fuel Composition Official Projections Heat production (PJ) Solar Biogas Biogas, upgraded Bio, liquid Electricity Natural gas Surplus heat Wood pellets Wood chips Straw Fossil, other Coal Waste Source: District heating - The role of district heating in future energy supply, COWI og Ea Energianalyse 2014 for Danish Energy Agency District heating production in Denmark in wind scenario

11 DK-PARLIAMENT AGREEMENT 2012 Headlines for 2020 More than 35 % RE in final energy 50 % wind, relative to electricity consumption 7,6 % reduction in gross energy consumption (comp. 2010) 34 % reduction greenhouse gas emissions (comp. 1990) Specific for heating sector A ban on installation of oil-fired and gas-fired boilers in new buildings from 2013 A halt to installation of oil-fired boilers in existing buildings from 2016 in areas with district heating or natural gas Conversion from coal to biomass at large-scale CHP plants An analysis of the future role of district heating in the energy system

12 PHASING OUT COAL FROM CHP 2017 biomass/waste? 100 % biomass in: /3 biomass & waste

13 CARBON NEUTRAL CAPITAL

14 DEVELOPMENTS IN SOLAR THERMAL DISTRICT HEATING

15 DRONNINGLUND DH, ENERGY SOURCES Natural gas Biooil Solar thermal Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

16 DEVELOPMENT IN HEAT PUMPS IN DH

17 INTEGRATION In a smart energy system, energy scavengers in district heating will deliver degrees of efficiency to the system. Resorces & waste Electricity Gas Heat

18 FOR FURTHER INFORMATION Birger Lauersen Telefone: Dansk Fjernvarme Fjernvarmens Hus Merkurvej Kolding Tlf Fax mail@danskfjernvarme.dk